Niceair
Niceair was an Icelandic virtual airline based in Akureyri that operated briefly in 2022 before suspending flights and entering insolvency in 2023.
Last updated August 25, 2026
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Overview
Niceair was an Icelandic virtual airline established to connect northern Iceland with destinations in other parts of Europe. It was headquartered in Akureyri and based its planned operations at Akureyri Airport, seeking to use scheduled international air services to attract visitors to the North Iceland region. Rather than immediately obtaining its own air operator's certificate or operating an aircraft directly, Niceair intended to sell and market flights under its own brand while contracting another carrier to perform the flying. The airline was publicly announced in February 2022. Its backing included investment from Icelandic companies and investors, among them Samherji and Norlandair. The initial operating model centered on a single leased Airbus A319, with Hi Fly Malta subsequently identified as the carrier responsible for operating the aircraft and flights. Niceair began selling tickets ahead of its planned launch and positioned the service as a new international gateway for Akureyri. Services began in June 2022. The first advertised operation linked Akureyri with London Stansted, with the inaugural outbound service taking place on 2 June and the first flight to London reported on 3 June. The launch immediately encountered a regulatory problem. Because of the post-Brexit air-services arrangements between Iceland and the United Kingdom, Hi Fly Malta was not permitted to operate the scheduled return service from London to Akureyri on Niceair's behalf under the applicable treaty framework. Niceair therefore suspended the London Stansted operation. The same operational and regulatory difficulties contributed to the cancellation of a planned Manchester service that had been expected to begin in October 2022. Niceair continued to pursue route development despite the disruption. In March 2023, it cancelled a proposed route to Düsseldorf that had been scheduled for May, indicating that it hoped to defer the launch until 2024. The airline's operating model remained dependent on the availability of a suitable third-party aircraft and operator. On 5 April 2023, the sole aircraft being used under the Niceair brand was detained by its lessor. Niceair said that it could not find an alternative aircraft and consequently suspended all operations. In May 2023, the company dismissed its remaining staff and stated that it would not restart operations during 2023. It subsequently filed for insolvency and closed. Niceair's short history illustrates the risks faced by small virtual airlines whose schedules depend on a single leased aircraft, a contracted operating carrier, and regulatory permissions spanning multiple jurisdictions. The brand's commercial proposition was focused and regional, but its limited fleet and reliance on external aviation partners left it with little resilience when regulatory and lessor-related problems arose.
History
Niceair emerged in early 2022 as a proposed virtual airline serving Akureyri in northern Iceland. Its stated commercial purpose was to bring tourists from European markets directly to northern Iceland, while also providing the region with international air links that did not depend entirely on connections through Reykjavík. The company was announced in February 2022 and received financial support from investors that included Samherji and Norlandair. The business chose an asset-light operating structure. Niceair did not initially plan to obtain its own air operator's certificate or operate aircraft independently. Instead, it planned to market flights under the Niceair name and hire another airline to perform the actual services. The proposed fleet consisted of a single Airbus A319, and in March 2022 Hi Fly Malta was identified as the contracted operating carrier. This arrangement allowed Niceair to proceed with ticket sales and route planning without establishing a conventional in-house airline operation, but it also made the brand dependent on the availability, regulatory permissions, and commercial stability of one aircraft and one external operator. Niceair launched its first service in June 2022. The initial route was between Akureyri and London Stansted, with the launch taking place around 2 June and the first London service reported on 3 June. The operation encountered an immediate legal and regulatory obstacle. Following the United Kingdom's departure from the European Union, the air-services framework applicable between Iceland and the United Kingdom did not allow Hi Fly Malta to operate the scheduled return flight for Niceair in the manner planned. Niceair consequently suspended the London Stansted service. A planned Manchester route, which had been expected to start in October 2022, did not proceed. The company nevertheless continued to consider additional European destinations. In March 2023 it withdrew a proposed Düsseldorf service that had been scheduled for May. Niceair indicated that the route could be reconsidered for 2024, suggesting that it still hoped to continue as an operating airline if the necessary aircraft and commercial conditions became available. The decisive disruption came in April 2023. On 5 April, Niceair suspended every operation after the aircraft used by Hi Fly Malta was detained by its lessor. Because the business was built around a single aircraft, the loss of that aircraft left it without immediate operating capacity. Niceair stated that it had been unable to secure an alternative aircraft. The suspension therefore became an effective cessation of service rather than a short-term schedule adjustment. During May 2023, Niceair dismissed its remaining employees and announced that it would not restart during 2023. Several weeks later it filed for insolvency and closed. The company consequently became a defunct Icelandic airline after a brief period of commercial operation. Its history is notable as an example of a regional virtual-airline model that combined a narrow geographic proposition with heavy dependence on external operating partners. Regulatory constraints disrupted the first route, while the detention of the sole aircraft removed the practical ability to continue flying. No later resumption is recorded in the reference material.
- 2023
Düsseldorf route deferred
[1]A proposed Düsseldorf route was withdrawn from the May 2023 schedule and considered for 2024 instead.
- 2023
All operations suspended
[1]Niceair halted flying on 5 April after its sole aircraft was detained by its lessor and no replacement aircraft could be found.
- 2023
Insolvency and closure
[1]The airline laid off its remaining employees, ruled out a 2023 restart, filed for insolvency, and closed.
- 2022
Virtual airline announced
[1]Niceair was announced as an Akureyri-based virtual airline intended to bring European visitors to northern Iceland.
- 2022
Hi Fly Malta named operating carrier
[1]The company identified Hi Fly Malta as the third-party airline that would operate its planned services with a leased Airbus A319.
- 2022
First service launched
[1]Niceair began its first service from Akureyri to London Stansted in June 2022.
- 2022
London Stansted route suspended
[1]The London service was suspended after treaty-related restrictions prevented the planned return operation by Hi Fly Malta.
Products and positioning
A regional Icelandic virtual airline intended to improve international access to northern Iceland and attract European visitors to the Akureyri area.
Passenger air transport · 2022
Scheduled passenger flights
Niceair marketed scheduled international passenger services from Akureyri under its own brand. The flights were intended to connect northern Iceland directly with European destinations and support tourism in the region. Actual aircraft operations were contracted to Hi Fly Malta rather than conducted by a Niceair-operated fleet.
International passenger route · 2022
Akureyri–London Stansted
The London Stansted route was Niceair's first launched service. It began in June 2022 with an Airbus A319 operated by Hi Fly Malta, but was suspended after post-Brexit air-services restrictions prevented the planned return operation from the United Kingdom to Iceland.
Planned international passenger route
Akureyri–Manchester
Niceair planned to add Manchester to its network in October 2022. The service did not proceed, following the difficulties that affected the airline's London operation and its contracted operating model.
Planned international passenger route
Akureyri–Düsseldorf
A Düsseldorf service was proposed for May 2023 but was called off in March. Niceair indicated that it might attempt to inaugurate the route in 2024, although the airline entered insolvency before any restart.
Brand decisions
2023
Deferred proposed Düsseldorf launchStrategyBackground
Niceair had planned to begin service to Düsseldorf in May 2023 while continuing to develop its European network.
Action taken
The company cancelled the May launch and indicated that the route might be introduced in 2024.
Aftermath
The airline suspended all operations in April and entered insolvency before the route could be reconsidered.
2023
Suspended operations after loss of sole aircraftOtherBackground
The only aircraft being operated under the Niceair brand was detained by its lessor.
Action taken
Niceair suspended all flights on 5 April after stating that it could not secure an alternative aircraft.
Aftermath
The company laid off its remaining staff, ruled out a restart during 2023, and subsequently filed for insolvency.
2023
Filed for insolvency and closedOtherBackground
After the April suspension, Niceair had no recorded operating aircraft and did not plan to resume service during 2023.
Action taken
The company dismissed its remaining employees, filed for insolvency, and ceased business.
Aftermath
Niceair became a defunct Icelandic airline.
2022
Adopted a virtual-airline operating modelStrategyBackground
Niceair sought to launch international services from northern Iceland without immediately obtaining its own air operator's certificate or operating an in-house fleet.
Action taken
It marketed flights under the Niceair brand and contracted Hi Fly Malta to operate a leased Airbus A319.
Aftermath
The model enabled a rapid launch but left the airline dependent on one external carrier, one aircraft, and the regulatory permissions applicable to that arrangement.
2022
Launched Akureyri–London Stansted serviceProduct launchBackground
Niceair aimed to establish direct European connectivity for Akureyri and attract visitors to northern Iceland.
Action taken
The airline introduced its first scheduled service in June 2022 using an Airbus A319 operated by Hi Fly Malta.
Aftermath
The route was suspended after treaty-related restrictions prevented the planned return flight from London to Akureyri.
2022
Suspended London operationOtherBackground
The post-Brexit air-services arrangements between Iceland and the United Kingdom did not permit Hi Fly Malta to operate the scheduled return service for Niceair as planned.
Action taken
Niceair suspended its London Stansted service and did not proceed with the planned operating pattern.
Aftermath
The regulatory issue also contributed to the failure of the planned Manchester launch in October 2022.
Recent events
- 2023
Niceair postpones proposed Düsseldorf service[1]
Other
Niceair cancelled its planned Düsseldorf launch for May 2023 and indicated that the route might instead begin in 2024.
- 2023
Niceair suspends all operations after aircraft detention[1]
Other
The airline stopped flying on 5 April after the sole aircraft operated by Hi Fly Malta was detained by its lessor. Niceair said that no replacement aircraft was available.
- 2023
Niceair dismisses staff and enters insolvency[1]
Bankruptcy · Leadership change
In May 2023, Niceair laid off its remaining employees, said it would not resume operations during the year, and later filed for insolvency before closing.
- 2022
Niceair announces a virtual-airline operation based in Akureyri[1]
Other
Niceair was announced as a virtual airline planning to connect northern Iceland with European destinations. The business expected to use one Airbus A319 and a separately contracted operator rather than immediately obtaining its own air operator's certificate.
- 2022
Niceair begins service to London Stansted[1]
Product launch
Niceair launched its first international service from Akureyri in June 2022, using an Airbus A319 operated by Hi Fly Malta under the Niceair brand.
- 2022
Niceair suspends London service after air-services treaty problem[1]
Regulation · Other
The carrier could not transport passengers on the first scheduled return flight from London to Akureyri because the applicable Iceland–United Kingdom arrangements did not permit Hi Fly Malta to operate the service for Niceair in the required manner.
Sources1 sources
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